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Honda Staying in Canada, Confirms Anita Anand Amid Relocation Rumours

Honda Staying in Canada, Confirms Anita Anand Amid Relocation Rumours

Amid swirling reports suggesting a potential shift of Honda’s manufacturing operations from Canada to the United States due to escalating trade tensions, both the automaker and Canadian officials have stepped forward to dispel these claims.

Earlier today, Japan’s Nikkei newspaper reported that Honda was contemplating relocating a significant portion of its vehicle production from Canada and Mexico to the U.S., aiming to produce 90% of its U.S. sales domestically in response to new 25% tariffs imposed by the U.S. government.

Anita Anand, Minister of Innovation, Science and Industry addressed the situation, tweeting after her meeting with Honda Canada CEO Dave Jamieson:

“I just finished a productive meeting with the CEO of Honda Canada, Dave Jamieson. He confirmed that Honda remains fully committed to its operations in Canada and that there are no plans to shift production elsewhere.

Canada has the best workers in the world and is a global leader in auto manufacturing. We will continue to work with all auto manufacturers to protect Canadian jobs and to build a strong, resilient auto sector here in Canada.”

Honda Canada also swiftly countered this narrative. In a statement, spokesperson Ken Chiu emphasized, “We can confirm that our Canadian manufacturing facility in Alliston, Ont., will operate at full capacity for the foreseeable future and no changes are being considered at this time.” He further noted that Canadian production remains robust, buoyed by a 9% increase in domestic sales during the first quarter of this year.

Ontario Premier Doug Ford echoed these sentiments, labeling the Nikkei report as “not accurate” and reaffirming the province’s strong relationship with Honda. He expressed confidence in Honda’s continued operations in Ontario, highlighting the company’s significant contributions to the local economy.

Honda’s Alliston, Ontario plant employs approximately 4,200 workers and produced about 375,000 CR-V and Civic vehicles in 2023. The facility plays a crucial role in Canada’s automotive sector, and its sustained operation is vital for the region’s economic health.

While Honda has expressed intentions to increase U.S. production by up to 30% over the next few years, the company maintains that this expansion will not come at the expense of its Canadian operations. Instead, Honda aims to adapt to market demands and trade policies while preserving its commitments across North America.

As trade dynamics continue to evolve, Canadian officials and industry stakeholders remain vigilant, ensuring that the nation’s automotive sector remains resilient and competitive on the global stage.